Under this option, the electricity price is fixed for the term of the agreement, providing price and budget certainty. This product includes all components of the electricity price such as: energy, basis, capacity, ancillary services, GRT network transmission and the additional costs incurred to meet the percentage of renewable energy mandated by the state.
This product allows customers to take full advantage of the price movement in the market, but does have the least amount of risk protection as compared to other products. While customers bear no volume risk, they do take on the risk of purchasing electricity at fluctuating market prices. The price is based on the spot market, plus any other applicable PJM charges. The price paid each month will vary based on changes in market price and usage volume.
Maybe your business is a large enough user such that you may want to consider a wholesale solution such as becoming your own retail provider (LSE). In this case, you would take wholesale service (instead of retail) and would purchase and hedge from the wholesale market. You will avoid many typical retail adders and risk factors, but will take the responsibility for your own volume risk and hedging. In this case, KEYTEX Energy’s wholesale energy services may be what you are looking for.
This product allows customers to purchase blocks of energy using a baseload energy usage approach and to purchase the remaining energy in the market. The customer pays a fixed price for the block, which can be purchased in some or all months. Energy usage above or below the baseload amount is then purchased or sold in the market. Some components of the price such as capacity, ancillary services, network transmission and the additional costs incurred to meet the percentage of renewable energy mandated by the state are either pass-through items to the customer or fixed at the volumes equivalent to the block purchase. This product gives the customer some budget certainty, but also offers the potential opportunity to benefit from any downward market
Conducted properly, an aggregation or buyers pool could benefit you. Conducted improperly and it could cost you money. Is your load profile subsidizing the pool or is the pool subsidizing your load profile? It is impossible to know unless you analyze the load profiles of everyone in the aggregation. Do not automatically assume that you are better off in an aggregation.
Many customers are offsetting the cost of rising electricity rates by participating in voluntary Demand Response programs. Do the operational characteristics of your business make this a viable option for you? KEYTEX Energy can help you assess the ability of your business to participate.
These include such things as monitoring the performance of the supplier during the contract period, billing reviews to ensure accuracy, monitoring of the energy markets for buying opportunites to extend your contract, as well as keeping you up to speed on regulatory issues that may affect your business. These are just a few of the many things that make us unique at KEYTEX Energy.